what is a modified death benefit?

equity life insurance

The truth is, those are all marketing terms that mean the same thing. They're referring to a whole life insurance plan with limited underwriting, so people with health conditions can still qualify.

Premiums: Standard whole-life insurance has the same premiums as your entire Policy. Modified whole-life premiums are only available once.

The lower rates you're charged early in your modified whole-life Coverage aren't a discount — you'll make up the difference with higher payments after the initial period ends.

straight life income option —

Answering health questions is necessary if you desire immediate coverage. There are no exceptions.

You can borrow

Compare those costs to term life insurance, where the same 35-year-old male would pay $30.44 per month for a $500,000, 20-year term policy.

indeterminate premium term life insurance policy

Insurance companies cannot cover all health issues. They will have to decide where they can compete for particular health conditions.

The good: The best part of a whole-life modified plan is the ability for folks with serious health issues to secure new Coverage. Most modified life plans have very limited or no medical/lifestyle underwriting. If you have dire illnesses, you can still get new Coverage. Depending on the nature of your health issues, modified whole life may be the only way you can get a new life insurance policy.

Many modified whole-life policies don't allow you to contribute to your Policy's cash value during the introductory period.

indeterminate premium term life insurance policy
insurance policy summary template

insurance policy summary template

It is possible to have a modified plan, no matter your health.

Life insurance companies compete with each other via price and underwriting.

Consider a modified whole life policy. It's worth reviewing your budget and consulting with a financial adviser to ensure it's the right choice for your family.

is modified whole life interest sensitive?

This applies to modified whole life insurance.

This is how cash value grows that you can borrow.

Do you want to know more about modified whole life insurance?

what is a modified death benefit?
how are settlement options paid?
how are settlement options paid?

You can get modified premium whole-life insurance for as long as you want. Some companies require a two-year waiting period while others make you wait three years.

It is easy to get whole-life insurance. These are the details you should know:

These are all marketing terms which mean the same thing. These terms refer to whole life insurance plans with limited underwriting. People with certain health conditions may still be eligible.

what is a single premium life insurance policy?

Why are we saying that?

Still paying much more for your coverage than you would for term life insurance

You can't contribute to the Policy's cash value during an introductory period with modified whole-life insurance policies.

what is a single premium life insurance policy?

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Frequently Asked Questions



CEO, The Annuity Expert. A Modified Endowment Contract, or MEC, is a life insurance policy modified from the traditional whole life insurance policy. A MEC offers tax-deferred growth and allows you to take out loans against the policy's cash value without penalty.


Modified whole life insurance offers lower premiums for a short time (usually two to three years but occasionally up to five or 10), followed by a higher rate for the remainder of the policy.



Is modified whole life insurance interest-sensitive? No, a modified whole life policy does not interest sensitive. It will build up a cash value that grows every time you make payment.